PERTH (miningweekly.com) – ASX-listed DevEx will raise A$21.1-million in a share placement and fully underwritten entitlement offer to expand its exploration programmes in Western Australia and the Northern Territory.

DevEx on Friday announced it had received binding commitments for the placement of 33.3-million shares, at a price of 30c each, from existing and new institutional and sophisticated investors, to raise an initial A$10-million.

Settlement of the placement is scheduled for October 18.

Additionally, DevEx is also undertaking a fully underwritten pro-rata renounceable entitlement offer also priced at 30c a share, to raise a further A$11.1-million.

The offer price of 30c a share represented an 11.8% discount to DevEx’s last trading price and a 15.3% discount to the company’s 30-day volume weighted share price.

“The capital raising allows us to increase drilling momentum across our two key projects – the Nabarlek uranium project in the Northern Territory and the Kennedy ionic clay-hosted rare earth project in Queensland,” said DevEx MD Brendan Bradley.

“Against the backdrop of the most favourable environment for uranium exploration in over a decade, we have been delivering exciting results from Nabarlek, with shallow high-grade mineralisation encountered at several prospects, surrounding the historic Nabarlek mine. Meanwhile, at Kennedy we are currently scoping out the potential scale of what could be a game-changing discovery in an entirely new rare earths province.

“We are delighted with the response from investors to this raising, which reflects the quality of our projects and their potential to deliver significant value for our shareholders. I would like to take this opportunity to thank both existing and new investors for their support,” said Bradley.

The entitlement offer will open on October 23 and close on October 31.